Japanese Candlesticks Analysis 01.03.2021 (EURUSD, USDJPY, EURGBP)

EURUSD, “Euro vs. US Dollar”

As we can see in the H4 chart, the correction continues. While testing the support area, the asset has formed several reversal patterns, including Inverted Hammer. At the moment, EURUSD is reversing and may later continue growing. In this case, the upside target may be at 1.2220. However, an alternative scenario implies that the price may correct to reach 1.2040 before resuming the ascending tendency.

USDJPY, “US Dollar vs. Japanese Yen”

As we can see in the H4 chart, USDJPY has formed several reversal patterns, such as Hanging Man, while testing the resistance level. Judging by the previous movements, one may assume that the asset may reverse and start a new pullback. In this case, the correctional target is the support area at 106.05. After that, the instrument may rebound from this level and resume trading upwards. At the same time, an opposite scenario implies that the price may grow to reach 107.10 without reversing and correcting.

EURGBP, “Euro vs. Great Britain Pound”

As we can see in the H4 chart, after forming a Harami reversal pattern not far from another support level, EURGBP may reverse and form a slight pullback. In this case, the correctional target is the resistance area at 0.8755. Still, there might be an alternative scenario, according to which the asset may continue falling to reach the downside target at the next support level at 0.8520.